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HK CE: No evidence to indicate decline of competitiveness
Hong Kong Chief Executive Donald Tsang said on Thursday that there is no evidence to prove that Hong Kong's competitiveness has declined. Tsang made the remarks at the government's building when asked to comment on the World Economic Forum's Global Competitiveness Report 2005-2006 released on Wednesday. He said the Hong Kong Special Administrative Region government will make a study on the report with a calm and open mind. If there is room for improvement, the government would strive to improve. In a related development, a government spokesman said on late Wednesday night that the government is firmly committed to preserving and lifting further Hong Kong's competitiveness. "We note the improvements in Hong Kong's rankings for the ' Macroeconomic Environment Index' and 'Technology Index' and the marked decline in the 'Public Institutions Index' which lead to a visible fall in Hong Kong's global competitiveness ranking from 21st to 28th," said the spokesman. "We are disappointed by this." "We are skeptical of the distinct deterioration in Hong Kong's ranking in the 'Public Institutions Index,'" he said, noting the World Economic Forum's accusation of weakening in Hong Kong's judicial independence, property rights protection, and a rise in favoritism in government decisions and corruption is ungrounded. "Our firm commitment to rule of law, level-playing field, and efforts and achievements in respect of anti-corruption are internationally recognize," he said. "This is also inconsistent with the assessment of Hong Kong by other international organizations." The spokesman said the International Institute for Management Development ranked Hong Kong as the second most competitive economy in the world. The Heritage Foundation ranked Hong Kong as the world's freest economy for the 11th consecutive year in its 2005 Index of Economic Freedom. "Freedoms, human rights, the rule of law and an independent judiciary are fully protected in Hong Kong," he noted. The spokesman added that Hong Kong had been consistently rated the word's freest economy, and amongst the most competitive economies in the world. The free flow of information, a high degree of transparency, and a trusted legal system underpinned by an independent judiciary all combine to prevent institutionalized collusion between business and government. The spokesman pointed out that Hong Kong's corruption situationis well under control. Internationally, in Berlin-based Transparency International's Corruption Perception Index 2004, Hong Kong was ranked the 16th least corrupt place among 146 places surveyed. Hong Kong continues to remain the second least corrupt place in Asia after Singapore. He said that in recent years, the Hong Kong Independent Commission Against Corruption (ICAC) has made tremendous efforts in partnership with the public sector and business community in promoting ethical practices and strengthening system controls to minimize corruption opportunities. He added that the ICAC will closely monitor the corruption situation and
continue to rigorously tackle graft through effective law enforcement and
incessant preventive efforts.
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